July 1, 2009...3:26 pm

Basin Electric to receive up to $100 million for new project

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U.S. Department of Energy Secretary Steven Chu, North Dakota Senators Kent Conrad and Byron Dorgan and North Dakota Governor John Hoeven announced today that Basin Electric Power Cooperative has been selected for up to $100 million in funding from the American Recovery and Reinvestment Act.

The project selected — an existing power plant in Beulah, N.D. – will incorporate advanced technologies to reduce carbon dioxide (CO2) emissions.

“Today’s announcement represents a major step forward in the fight to reduce carbon dioxide emissions from coal-based power plants. These new technologies will not only help fight climate change, they will also create new jobs and position the United States as a leader in carbon capture and storage technologies for many years, ” said Secretary Chu.

“North Dakota is an energy leader for the nation, and this investment by the Department of Energy demonstrates that our state is leading the way with cutting-edge energy technologies,” said Senator Dorgan, who chairs the Senate’s Energy and Water Appropriations panel, which provided funds for this project through the American Recovery and Reinvestment Act. “Basin Electric Power Cooperative manages one of the world’s largest carbon sequestration projects, and by working with the Department of Energy, this funding will allow them to expand on their successes. This project is a prime example of how the recovery plan funding will create jobs for North Dakotans while developing new technologies that advance a cleaner fleet of coal-fired power plants both in the U.S. and around the world.”

“We need to develop technology to use coal while lowering carbon emissions. This grant will allow Basin Electric to do just that. It is a smart investment, one that will reduce our nation’s dependence on foreign oil. It is also a serious investment in North Dakota, one that will create jobs and strengthen our state’s economy,” Senator Conrad said.

“Basin Electric Power Cooperative is leading the nation in developing and deploying carbon capture technology on an existing coal fired power plant,” Governor Hoeven said. “They pioneered the nation’s first and only coal gasification plant that captures and sequesters carbon, and now they are pioneering new technology for clean coal fired electric plants. We are truly pleased that the U.S. Department of Energy is joining the state of North Dakota in supporting this tremendously important project.”

The selection of Basin Electric Power Cooperative is part of the third round of the Clean Coal Power Initiative (CCPI). The CCPI is a cost-shared collaboration between the federal government and private industry to increase investment in low-emission coal technology by demonstrating advanced coal-based, power generation technologies. The goal of CCPI is to accelerate the readiness of advanced coal technologies for commercial deployment, ensuring that the United States has clean, reliable, and affordable electricity and power. The Department of Energy will provide up to $100 million to Basin Electric Power Cooperative to support the innovative demonstrations.

The selected proposal will employ different technological concepts to achieve a goal of at least 90 percent CO2 capture efficiency. A description of the project selected to receive funding from DOE to advance CCS technology research, development, and design includes:

Basin Electric Power Cooperative — $100 million Beulah, N.D.

• Post Combustion CO2 Capture Project—Basin Electric Power Cooperative will partner with Powerspan and Burns & McDonnell to demonstrate the removal of CO2 from the flue gas of a lignite-based boiler by adding CO2 capture and sequestration (CCS) to Basin Electric’s existing Antelope Valley Station, located near Beulah, N.D. Powerspan’s ECO2® ammonia-based technology will be used to capture CO2 on a 120 megawatt electric-equivalent gas stream from the 450 megawatt Antelope Valley Station Unit 1. The net result will be 90 percent removal of CO2 from the treated flue gas, yielding 3,000 short tons per day (1,000,000 tons per year) of pipeline-quality CO2. The ammonia based SO2 scrubbing system will also produce a liquid stream of ammonium sulfate which will be processed into a fertilizer by-product.

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